Get familiar with the questions a report can answer.
Read the heading first
Before comparing numbers, identify the period, currency, entity and basis of preparation. Two reports with similar titles may cover different things.
Three useful starting questions
- What does this report include, and what does it leave out?
- Which balances or movements need supporting detail?
- What changed, and what explanation supports that change?
Keep the discussion connected
Use reports alongside the records and assumptions behind them. Ask a qualified accountant to explain accounting treatments and the limitations of a particular report. A single figure should not carry a decision it was not designed to support.